Making a balance transfer can seem tempting if you’re struggling to keep up with credit card payments, but there are alternatives.
First, talk to your credit or store card company. Telling your creditor that you’re struggling will help them to help you. It’s worth finding out if there are any support options that will work for both of you. If you have a physical disability, experiencing mental health problems or are vulnerable, they might also have specialist teams to represent and support you.
You might also consider:
Salary advance – this is an employee benefit that involves taking some of all or your pay before payday.
Credit unions – might be an option if you have a low income and you need to borrow a small amount for a short time.
Community Development Finance Institutions – offer loans to people who struggle to get credit, but their interest rates tend to be higher than credit unions.
Bank overdrafts – if you keep within the limit and don’t get default charges, this will be cheaper than home credit. Interest rates can still be around 40%, so it’s important to pay it off as soon as possible.